LivingSocial cuts 400 jobs worldwide

NEW YORK — The online deals company LivingSocial is cutting 400 jobs, or about 9 percent of its workforce, as the deals market continues to face challenges.

Spokesman Andrew Weinstein said all but a few dozen of the cuts are in the United States.

LivingSocial said it is moving its customer service operations to Tucson from Washington, where it has its headquarters.


Weinstein said the job cuts came after a review designed to make sure the company has the resources to invest in areas that are ‘‘critical to the future,’’ such as mobile.

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Over the past year or so, online deals have gone from fad to a much-copied business that’s easy to set up but difficult to sustain. LivingSocial is one of the largest of the online deals companies. Groupon is number one. Inc. has a small stake in LivingSocial, which is a privately held company.